Markets to Fed: Little chance of another rate hike this year

“Inflation is the missing ingredient that would put the Fed on a convincing path to raise interest rates” writes Patti Domm for cnbc.com. New York Fed President William Dudley said Thursday that inflation should pick up and that the Fed was still on track to raise interest rates.Stocks moved higher after the inflation report, though markets remain under pressure due to tensions between the U.S. and North Korea.The already skeptical markets now give the Federal Reserve just a 1-in-3 chance of hiking interest rates in December, after a fifth weak monthly reading of consumer inflation.The central bank is expected to move ahead to begin the process of shrinking its balance sheet even before it raises interest rates again.